Case Study Report: A Problems Analysis on the Organisational structure and Strategic Operation of Engineering Inspection & Insurance Co.
1. Circumstances and Several Main Problems of EIIC at 1991
1.1 Changes in the economic environment and its impacts to EIIC
Engineering Inspection & Insurance Co. (EIIC) is a small and medium-sized insurance Enterprise depended on its distinctive competence, machinery and boiler inspection service. EIIC was a highly successful company before 1990. However the economic environment changed progressively when EIIC reached its flourishing stage. These changes reformed the new development road for insurance industries and consequently generated enormous troubles to EIIC.
At the early 1990s,
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1.2 Structural Problems that Stop the Growth of EIIC
After analysing the big picture of insurance circumstance, this chapter will discuss the main problems of EIIC in terms of structural operation and strategic operation in other to find the most critical fault and some assumed solutions to fix it.
The increasing employee turnover is a very apparent sigh of company dysfunction at EIIC’s organisational structure. According to the case files, there were a lot of complex conflicts between managers and employees, branch offices and headquarter, technical personnel and administrative personnel. The most remarkable conflict came from branch managers and the chief inspectors, which had been finely noticed by EIIC’s top officers. So the high employee turnover rate is caused by the current ineffective organisational structure of EIIC. Both of chief inspector and the bank manager have the right to make the final decision of whether to insure certain risks or not. What’s more, it is impossible for bank managers to monitor their inspection workers. In conclusion, the disorganization of the management layer caused more and more conflicts among the staffs and consequently beat down the employee morals.
1.3 The Most Critical Problem for EIIC: The Heavily Cost of Inspection
Unfortunately, out of management level, EIIC also have problems in the term of
Alternative structures such as grouping by output/product or grouping by market are not options as they would result in “duplication of activities and resources, the erosion of deep technical expertise, missed opportunities for synergies and learning” (Ancona, Kochan, Scully, Van Maanen, & Westney, 2009, p. M2-19). The matrix structure provided a potential positive aspect in that it would provide a needed cross-functional linking mechanism by mixing the functional structure with grouping by output/product, but the complexity, cost, dual systems, and dual roles resulting from the matrix structure historically resulted in either the functional or the output/product system becoming more powerful than the other.
Effective February 7, 2013, SeaBright Insurance Company (“Seabright”), a Seattle-based insurance company specializing in workers compensation, entered into run-off. In 2012, Enstar Group Limited (“Enstar”), a run-off specialist, purchased SeaBright. SeaBright continues to manage existing claims but no longer writes new or renewal business, which means that premium activity has slowed down. In 2015, a major change occurred when all of SeaBright’s net liabilities (i.e. loss reserves associated with its prior workers comp business) were shifted to an Enstar affiliate, Clarendon National Insurance Company, through a reinsurance agreement. Circumstances that led the company to run-off: SeaBright was placed into run-off driven by weakened underwriting performance associated with reserve strengthening actions for accident years 2007 through 2009, primarily related to increasing medical cost trends. Additionally, SeaBright was facing marketplace challenges associated with its geographic and coverage lines expansion. Seabright has had to deal with significant pressure from its workers comp book developing adversely year-over-year and having to liquidate investments to satisfy claims and expenses. The reinsurance contract with Clarendon did provide major relief but SeaBright still remains a going concern and without premiums coming in and asset base rapidly shrinking, its solvency status as an insurance company remains questionable. The key now is to track the level of credit risk
business of insurance. But the lack of uniformity, loop holes, blind spots and deficiencies within
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Insurance is an arrangement by which a company gives customers financial protection against loss or harm such as theft and illness in return for premium payments. One of the most important ways that external economic factors are affecting insurance industries is by experiencing a slow pattern in the economy. Insurance companies are affected by lower sales and lower rates of returns on their investments. Companies have to sell certain products for which they have the commitment and the
This case study is talking about a small city has one company named Staircase Production Company (SPC). The company focuses on quality and responses customer demand, nevertheless their problem in operations as a result, high costs and late deliveries. Until, Dean Hammond became to a new general manager that wanted to improve the operation in the correct way. Dean pointed out the
However, the horizontal hierarchy among the CEO, Vice-President of Engineering, Vice-President of Manufacturing, and the Vice-President of Marketing has not adapted to the changes. In fact, the Engineering department historically been the “strongest and prestigious area of the company” Not only does the existence of the new internal division change the company’s “principal line divisions” behavior, it gravely impacts and emasculates the integrity of the CEO and the vested interests of the remaining divisions and individuals.
Respondents had legitimate non-discriminatory reasons for terminating Complainant. The investigation reveals through emails produced by Respondents, Complainant had documented performance problems and received negative feedback throughout his employment. While Complainant’s personnel file lacks written warnings due to poor performance, the investigation reveals that progressive discipline is only a suggested method to deal with an employee’s performance issues according to Respondents’ employee handbook which Complainant signed. The investigation reveals that although Complainant produced evidence that he was replaced by a younger employee (M.E.), it is insufficient to show that M.E. (Security Operations Manager) actually replaced Complainant (District Manager/Sales, a.k.a. Operations Manager). Based on a review of the job descriptions for Complainant’s and M.E.’s positions provided by the parties, while M.E. does perform the operational duties Complainant did, M.E. does not perform all of Complainant’s job functions and does not have the level of responsibility in some of his job functions that Complainant did. Furthermore, Complainant fails to show that any other employee replaced him. Complainant has provided insufficient evidence to show Respondents’ legitimate non-discriminatory reasons for terminating Complainant were pretextual. Therefore, a finding a lack probable cause is
| 1. Innovative management for safety & occupational health for both partners & customers(12) 2. Constitution system that Set out for principles & governance system & rules(12) 3. Good internal control & risk management(12)
The Insurance Consultant, Moore-McNeil, has opined that it does not believe nor has reasons to believe that there are any material compliance issues with respect to the Portfolio’s insurance program and the insurance requirements. The risk is assessed “Neutral/Standard”. The Project has received all of its material permits and all three generating stations are currently under construction.
In this paper, I will analyze the assigned case study of an organization by using the Four Frames. The Four Frames are including from the following viewpoints; Structural, human resources, political, and Symbolic.
general insurance business in India with effect from 1st January 1973. 107 insurers amalgamated and grouped into four companies viz. the National Insurance Company Ltd., the New India Assurance Company Ltd., the Oriental Insurance Company Ltd. and the United India Insurance Company Ltd. GIC incorporated as a company.
All over the globe retaining employees is a most critical factor for the organisations. High employee turnover is more common in private sector as compared to public. In construction industry, to reduce employee turnover and to improve the productivity of an organisation, organisations have to be aware of the reasons why an employees quit the organisation?. Employee turnover can be explained as the expenses, in term of money, time, and quality of work, that an organisation bear while replacing an employee. If an organisation fails to satisfy the needs of its employees then it is obvious that the employees will look forward to fulfill their necessities. This chapter discuss the reasons why employees quit their jobs.
IT plays a role in servicing a large number of clients and reduce processing cost. At the same time IT can help in churning out statistics and information necessary to analyse the performance of current and potential business. As such, Sun Life need to look into the aspect of insurance systems and IT infrastructure in Malaysia.
Strategic posture: 1. Organizational profile (minimum one page) 2. Vision 3. Mission 4. Organizational objectives (bullet points) 5. Corporate governance (minimum one page) 6. CSR (minimum one page) 7. Core values (bullet points) 8. Code of conduct (bullet points) 9. Policies/standard operating procedure External factor analysis 10. Stakeholders analysis (primary, secondary) (diagram) 11. PESTEL analysis (minimum one page) 12. Task environment (minimum one page) 13. Issues priority matrix (diagram) 14. Porter five competitive forces analysis (minimum one page) 15. Strategic group (diagram) 16. Strategic type (one paragraph) 17. Industry matrix